Nebraska Ethanol Pipeline Discussed

Project could transport more than billion gallons a year.

Nov 27, 2007

Nebraska's ethanol annual production currently sits at 1.35 billion gallons and is expected to jump to 2.3 billion gallons by 2009. At best, Nebraska could use 100 million gallons a year. To ship it across state, representatives of Tulsa, Okla.-based Seminole Energy Services have approached Nebraska ethanol plants about a $150 million project that could move a billion gallons of ethanol a year from plants to a terminal between Grand Island and Hastings.

The hub would be able to store 30 million gallons of ethanol and accommodate three or four 95- to 125-car trains. Seminole officials say savings to Nebraska could be about 9 cents a gallon. If enough ethanol plants commit, the pipeline and terminal could be operational by 2010.